Overview
- India imported a record 4.93 million barrels per day of crude in June, with roughly 2.6–2.7 million bpd coming from Russia and making up more than half of total flows.
- Refiners in India increased purchases of discounted Urals crude to replace disrupted Gulf supplies after flow risks around the Strait of Hormuz reduced Middle East cargoes.
- Sustained Ukrainian drone attacks cut Russian refining throughput, creating domestic gasoline shortages that prompted initial shipments of about 60,000 tonnes of gasoline from India to Russia.
- Moscow's response includes a Russian parliament move to subsidise fuel imports tied to Indian delivery costs and plans to import roughly 400,000 tonnes of gasoline per month from multiple suppliers.
- Commercial factors and logistics shaped the shift: Indian cargoes are largely booked through early August, buyers favoured cheaper Russian barrels, and alternative suppliers such as Venezuela, the US and Belarus have also adjusted flows.